Understand the assumptions before the number.

What is inside

For owners testing expectations, planning an exit, or trying to understand the components of a buyer’s proposal.

Use this briefing to prepare a better conversation with your advisors. It contains no calculator or suggested multiple. It is educational preparation, not a formal appraisal, accounting opinion, tax recommendation, investment advice, or estimate of what your company will sell for.

1. Define the purpose

   A number is useful only in relation to the question it must answer. Planning, a contractual requirement, financing, and a legal or tax purpose may call for different work and qualifications.

2. Assemble the earnings evidence

   Keep the starting result visible. Adjustments should explain the historical record, not replace it with an unsupported preferred outcome.

3. Map the business-specific assumptions

   A broad industry reference cannot explain the economics of a particular company. Write down the facts that could cause a buyer or advisor to interpret the business differently.

4. Separate value from proceeds

   An indicative value perspective is not the cash an owner receives. Ask your professional team to explain how the actual transaction defines and treats each relevant component.

5. Compare structure and continuing exposure

   Two proposals with similar headline amounts can leave an owner with different obligations. Record missing information instead of silently assuming favorable terms.

6. Turn the discussion into a next step

   A useful analysis leaves you with a better decision and a clear view of uncertainty. It should not encourage confidence that the available evidence cannot support.

Make it your working document.

The PDF includes space to record evidence and priorities. An accessible online version accompanies the download. Complete it privately, then decide which questions you want to bring to your advisors.